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at crowdproperty we are proud to support the building of great british homes

£164.81m

property funded

966

homes funded

£71.38m

lent

10,341

investors

100%

payback

2014

lending since

together we build great british homes

Investing through crowdproperty supports small and medium sized property businesses. By investing, you play a valuable part in addressing the nation's undersupply of housing by financing the building of the estimated 300,000* new homes required each year for the united kingdom.

In 'Fixing our Broken Housing Market', the main housing white paper published in February 2017, the UK Government specifically identified small and medium sized property businesses as having a key role in solving the housing crisis. Proposals focused on unlocking sites, planning constraints, construction barriers and funding for this segment. They committed to 'make more land available for homes in the right places by maximising the contribution from brownfield and surplus public land, regenerating estates, releasing more small and medium sized sites, allowing rural communities to grow and making it easier to build new settlements'.

Crowdproperty is committed to providing sustainable finance through our investors to together build great british homes by addressing a broken and inefficient source of funding for property professionals.

performance transparency

CrowdProperty is a founding member and only specialist property platform in the Innovate Finance 36H Group. The 36H Group succeeds the Peer-to-Peer Finance Association (P2PFA), of which CrowdProperty was a board member (as the only specialist property project platform) alongside other sector leaders, which set high-operating standards that went above and beyond the regulations on areas such as credit risk management, disclosure and accountability. With the majority of the P2PFA Operating Principles included in the new enhanced FCA regime, CrowdProperty remains at the forefront of the online lending sector as a founding member of the Innovate Finance 36H Group.

Our insistence on transparency and best practice in every way has resulted in us working with Brismo (formerly Altfi Data), the leading provider of standardised loan performance data. Brismo scrutinise every loan and loan cashflow to derive independent, like for like platform comparability. CrowdProperty was the first property specialist platform to become Brismo Verified.

This has validated our 100% track record and underlines our commitment to be held accountable for the performance of every loan we originate both historically and going forward.

detailed statistics by year

2015

2016

2017

2018

2019

2020 (ytd)

total

Total Originated

£2,287,500

£4,026,000

£5,171,500

£15,378,392

£28,441,547

£15,641,626

£70,946,565

Average Size of Loan

£326,786

£335,500

£517,537

£480,799

£367,039

£352,912

£387,181

Number of Loans

6

10

9

31

77

43

181

Average Project Size

£381,667

£518,200

£594,389

£826,806

£707,571

£610,565

£714,066

Total GDV Funded

£4,486,000

£11,713,500

£11,677,000

£46,550,500

£60,814,090

£29,569,000

£164,810,090

Total Units Funded

30

71

83

301

322

150

966

Average Loan Term

10 months

12 months

15 months

15 months

14 months

14 months

14 months

Loan to current market value1

60.0%

64.2%

66.8%

59.7%

61.1%

56.3%

60.5%

Loan to GDV Excluding Interest2

55.1%

47.4%

48.9%

52.7%

56.0%

51.7%

53.1%

Loan to GDV Including Interest3

60.2%

52.3%

57.3%

60.2%

61.0%

55.9%

58.7%

Total Projects > 180 Days Late4

1

2

1

1

0

0

5

Total Projects > 180 Days Late Repaid

1

2

0

0

0

0

3

Actual Defaults5

0%

0%

0%

0%

0%

0%

0%

Anticipated Defaults6

1%

1%

1%

1%

1%

1%

1%

Total Capital Paid Back

£2,287,500

£4,026,000

£4,843,581

£9,299,907

£6,081,430

£0

£26,538,418

Total Interest Paid Back

£243,708

£404,763

£476,706

£989,729

£670,100

£32,056

£2,817,073

Total Paid Back

£2,531,208

£4,430,763

£5,320,287

£10,289,636

£6,751,530

£32,056

£29,355,491

Borrower Contract Rate7

11.71%

10.00%

10.00%

10.00%

9.79%

9.79%

9.99%

Borrower Actual Rate8

15.66%

10.17%

10.25%

10.08%

10.00%

10.00%

11.17%

Lender Contract Rate7

9.71%

8.00%

8.00%

8.00%

7.81%

7.81%

7.98%

Lender Actual Rate8

13.03%

8.17%

8.07%

8.07%

7.75%

7.75%

8.87%

Loan to current market value
is the average of the first release of capital to the borrower divided by the Current Market
Value of the property being offered as security.
In 2019, we introduced serviced bridging loans with up to 75% LTV.
This means that the average LTV in 2019 may be higher than in previous years.

Loan to GDV Excluding Interest
is the planned total capital facility divided by the RICS assessed Gross Development Value (GDV)
averaged over all projects.

Loan to GDV Including Interest
is the planned total capital facility plus interest divided by the RICS assessed
Gross Development Value (GDV) averaged over all projects.

Total Projects > 180 Days Late
As per P2PFA policy, Brismo methodology and FCA proposals,
technical default of a project is 180 days which must be disclosed.
CrowdProperty has recovered all > 180 days late projects fully in terms of both capital and interest.

Actual Defaults
this is the actual loss of capital invested, if any, on a loan in Default, after any
money we've been able to get back from the borrower. To keep losses to a minimum,
we take the First Legal Charge on all loans as security.

Anticipated Defaults
are only 1% of capital invested due to retaining First Charge security on all projects
we fund through the platform. Retaining the First Legal Charge on behalf of lenders
gives CrowdProperty the legal right to take ownership of a property in the unlikely
event that a property professional defaults on their loan. The First Legal Charge is
the highest level of security, the holder of which is paid out both capital and accrued
interest first in case of default and controls any required recovery processes.
This gives CrowdProperty the same rights that a mortgage company holds on a person’s
home if they fail to keep up repayments.

Contracted Rates
for Borrower and Lenders are the averages across all loan agreements.

Actual Rates
show the real returns for Lenders and the actual paid by Borrowers.
This is based on the actual interest paid for all projects.
Some actual rates will be higher than 8% for Lenders as some loans have run late and will be subject to a higher rate.
Only rates for paid back projects are included.

All reporting is based on the year of origination.
For all averages, subsequent raises are not included in the averages to ensure no double counting.
RICS – Royal Institution of Chartered Surveyors

This material contains statistics that have been prepared by CrowdProperty. The underlying data is based on past projects, however this information should not be construed as legal, tax, investment, financial, or accounting advice.

Any future forecasts that are shown combine our knowledge, with a number of risks, uncertainties and assumptions about any future states, many of these are beyond the control of CrowdProperty.

Nothing contained within the information provided is or should be relied upon as a warranty, promise, or representation, express or implied, as to the future performance of any loan through CrowdProperty. Any historical information contained in this statistical information is not indicative of future performance.

Independent performance verification by brismo

Scrutiny and verification of our loan book over the full history of the platform by Brismo independently verifies our 100% track record and the significantly higher returns delivered by CrowdProperty versus the overall UK peer-to-peer lending returns index.

Brismo’s methodology is explained in detail on their website, but in summary, Brismo analyse every loan, tracking loan cashflows against initial capital, expected interest and the loan term originally contracted. Loans which are later than the FCA proposed and P2PFA definition of technical default (180 days for property development), or otherwise marked as defaulted for any other reason by CrowdProperty, have industry standard capital write down assumptions applied to them, thereby supressing return accruals. The early-to-mid 2017 dip in the CrowdProperty returns line shows this effect from the 3 loans extended by more than 180 days (from our 2015 and 2016 loan cohorts). The recovery in the CrowdProperty returns line is then caused by 100% recovery of the capital and interest for these late-running loans.

As full supporters of the FCA’s recent call for improved and consistent disclosure in the peer-to-peer lending sector, in addition to ongoing best-in-class disclosure on this page, CrowdProperty now provides Brismo with monthly updates on each loan at a cashflow level. Such independently verified performance metrics bring efficiency to the investment process, support our segment-leading disclosure standards, validate our 100% track record and strong returns performance, and underline our commitment to be held accountable for the performance of every loan that we originate both historically and going forward.

Resilience Statement Abstract

As part of our dedication to maintaining our best-in-class 100% capital and interest payback track record through more than 5 years of lending and our unparalleled standard of due diligence, CrowdProperty has undertaken a thorough, multi-scenario loan book resilience study on all active loans to understand the loan book’s exposure to economic volatility. CrowdProperty analysed the causes of the 2007/08 and 1989/90 crises and from the aggregation of localised house price data during the 2007/08 and 1989/90 crises, derived resilience test scenarios. The scenarios, analysed and applied at localised levels given differing impacts, have been examined to test the resilience of the existing loan book to determine what economic conditions would compromise the security underpinning CrowdProperty loans, potentially compromising the 100% capital and interest payback track record of the platform to date. From this resilience testing, validation of our entry criteria for loans is detailed in this report and the resultant data analytics built into future loan appraisal assessment.

Resilience Statement Disclaimer

Resilience testing is not investment advice. Our resilience testing is an evaluation of our current loan book, based upon previous economic crises which impacted the residential property (housing) market. The main purpose of our testing is to evaluate our current loan criteria and processes, as well as to assess the potential impact of another housing market downturn. Although our resilience testing shows our loan book should be secure in the event of another economic crisis, past performance is not a guide to future returns and, when lending towards any investment product, your capital is at risk.

borrow

legal

about

Your capital is at risk if you lend to businesses that develop property. You may lose all of what you lend. See our full risk warning for more information

CrowdProperty Ltd. is a company registered in England, with its registered office at 54 Hagley Road, Edgbaston, Birmingham, B16 8PE (Company No. 08764786)
CrowdProperty is registered with the Office of the Information Commissioner (Reg no. ZA047468). CrowdProperty is authorised and regulated by the Financial Conduct Authority registration number 723959